The government has introduced its biggest incentive ever: the super-deduction tax. From 1 April 2021 until 31 March 2023, companies can claim 130% first-year capital allowances on qualifying assets, as well as 50% first-year allowance (FYA) for special rate assets in the same period.
Yes! The government has given a list of some examples of assets which may qualify for either the super-deduction tax or the 50% first- year allowance:
130% (was 18%)
50% (was 6%)
Every qualifying pound invested will result in a 24.7p tax saving. For example: If you have an asset valued at £250,000 you can offset 130% against your taxable profit. At the current Corporation Tax rate (19%), this equates to a tax saving of:£61,750
(sum: £250k x 130% x 19% = £61,750)
We know a thing or two about managing an office redesign or fit-out project, and we’re always looking out for ways to help businesses develop and improve their workspaces in the most efficient and productive way possible. And now is the perfect time to reshape an office that matches your vision to take advantage of this incredible super-deduction tax incentive.